Arlington GM Plant Survives Cuts

Carmaker hopes to emerge from bankruptcy leaner, stronger

Receive the latest business updates in your inbox

The GM Arlington plant has escaped a company restructuring that calls for closing nine more plants.

General Motors Corp. revealed Monday that it will permanently close nine more plants and idle three others as part of its plan to emerge from bankruptcy a smaller, stronger company.

GM's Arlington plant, which makes the GMC Denali, GMC Yukon, Chevrolet Tahoe and Cadillac Escalade, is not among the plants closing.

At a union office near the plant, local UAW leaders expressed relief, but said they still face an uphill fight.

"The overall economy has to improve and people have to go out and spend some money for us to get some job security," said J.R. Flores, president of UAW Local 276.

Bankruptcy Filing Almost a Relief for Dealers

Even in bankruptcy, General Motors is still in business.

(Published Monday, June 1, 2009)

The owner of the largest GM dealership in North Texas said the bankruptcy will provide customers with a sense of certainty about the company's future.

"Really, nothing has changed," said Tom Durant of Classic Chevrolet in Grapevine. "We're looking forward to being part of the new GM. I think this is going to make us stronger and better in the long run."

GM said plant closures will displace up to 20,000 employees and trim down GM's factory count in the United States from 47 at the end of last year to 34 by the end of next year.

Arlington GM Plant Survives Cuts

Six of the plants are in GM's home state of Michigan, which is already reeling from auto-industry job cuts. The shutdowns start with an assembly plant in Delaware, which will close before the summer's over. It will be followed by a Pontiac, Mich., pickup plant in October.

Nearly all GM plants were scheduled to shut down for up to 11 weeks this summer as a cost-cutting measure.

The once-mighty corporate giant whose brands were household names and plants the lifeblood of many U.S. communities filed its Chapter 11 petition in New York Monday. It marks the fourth-largest bankruptcy in U.S. history and the largest for an industrial company.